Today’s private equity fund managers are expected to increase the value of their portfolio companies by growing revenue, improving operating efficiency and decreasing expenses. For many, the solution to this triple challenge lies in boosting EBITDA, a measure directly linked to a company’s valuation. To this end, managers know that generating cost savings is key – they are discovering that reducing accounting overhead and administrative expenses can increase valuations…and more.
Dedicated accounting teams and technology specifically designed for private equity funds and portfolio companies.
For decades, our professionals have been recognized for their deep experience in, and grasp of, the alternative investment arena. For private equity funds and their portfolio companies, an important component in our extensive service roster is the outsourced accounting support we deliver, which is indispensable to private equity funds, especially those that acquire companies through leveraged buyouts (LBO).
Our specialists can replace all, or part, of a portfolio company’s accounting function, providing complete middle- and back-office services. We perform the full range of accounting, tax, administration, compliance tasks and reporting to the company CFO or we can serve as the CFO reporting to the private equity fund partner overseeing a specific portfolio company.
Assuming the responsibilities of a company’s accounting function often allows for the reduction or elimination of internal staff and related employee benefits costs. Outsourcing, whether at a client’s location or ours, also frees up corporate leaders from managing employees and overseeing related human resources tasks. This allows leaders to focus on operating their businesses, confident they are benefitting from our outstanding specialists and comprehensive array of services, know-how and experience.
Corporate Accounting Services
In addition to our full roster of core accounting services, we offer outstanding specialized services as part of our Corporate Accounting program:
Management reporting – key performance indicators (KPIs), business profitability analysis and enhancement
Comprehensive financial statement reporting, management dashboards and board reporting
Accounting and bookkeeping – journal entries and general ledger maintenance
Internal controls advisory
Revenue recognition policies and reporting analysis
Accounts payable, bill payment and cash reconciliations
Accounts receivable, billing and collection
Fixed asset and depreciation schedules – preparation and maintenance
Consolidation and reconciliation of due to/due from subsidiaries and affiliates
Inventory cost accounting
Employee compensation plans
Budgets and projections for business combinations and new investments; valuations
Consolidations and joint venture formation accounting
Cash flow analysis – projections, modeling and budgeting
Tax planning and compliance
Fair value assessments under ASC 820
Financial statement assembly and audit support
Comprehensive back office accounting and administrative staff support
Transaction Support including QOE (Quality of Earnings) Due Diligence and Pre- and Post-Acquisition Consulting